Dear Clients, With quarterly expiration coming up tomorrow, Friday, June 15th and the Russell reconstitution on Friday,

June 22nd, we wanted to reiterate our guidelines and policies for d-Quote orders.

Performance/Capacity While significant broker system enhancements around capacity and performance have occurred since last years Russell, there are still limits to what the technology can comfortably handle. Cuttone & Co., Inc. will activate extra brokers and handhelds on high volume days to accommodate the increased order flow. However, it is important to note that increased flow throughout the entire system can actually decrease the number of orders that the individual brokers handhelds can comfortably process. The message this year with d-Quotes is the same as last year, only with greater emphasis. GET THEM IN EARLY. Remember, a d-Quote sent in before the opening will execute on the opening trade or any reopening, if marketable. That aside, customers are urged to begin sending in dQuotes for the close as early as possible. Remember that they are not included in the imbalance feed until 3:55, but frankly, waiting until then or later is a risk that customers should not assume is transferable to Cuttone & Co., Inc. or the NYSE. In the case of orders not making it into the market and remaining unexecuted, Cuttone & Co., Inc. will not be providing reports to its customers. The only recourse will be to file a Rule 18 claim with the NYSE. However, it is important to note that the NYSE is not bound to providing compensation of any sort and will only decide to do so after discussing and voting on it in a committee meeting.

Ways you can help: The earlier the better for closing interest, period. Customers should send large groups of orders in stages. Not all at once. Notify Cuttone & Co., Inc. TODAY if you expect unusual order flow beyond what you currently send. Customers are discouraged from sending cancels for any d-Quote order. Cancel messages create latency in the handheld and can result in orders not making it to market.

Some other quick reminders: d-Quotes do not work in UTP (Nasdaq) names (there are no closes). d-Quotes marked short may not execute on the close in SSR triggered stocks. d-Quotes will be executed on a best efforts basis only. Cancel and replace d-Quote orders should be avoided. Only send straight orders. d-Quotes entered prior to 3:45 will execute on intra-day re-openings, if marketable.